MSRM Program, Class of 2019, Module 3 | New York

October 15-27, 2018


Managing Risk in Complex Capital Projects

Professor Paul Tice


Post-Module project: The Tappan Zee Bridge Replacement Project


Instructions


Please answer the two multiple-part questions posed below as concisely and completely as possible using a maximum of four single-spaced written pages (12-point text font).  Financial schedules, charts and annexes are permitted in addition to this mandatory 4-page word count.


The website links and resources provided below are sufficient to complete the project, although students are free to use any public information sources that they deem reliable and relevant.


This is an individual project and there should be no communication or coordination with other students in the class about this project.  All submitted work should be in your own words.  Students are expected to adhere to the Stern and New York University Honor Codes in preparing this project.


Questions


1. Using the project risk taxonomy discussed in class, analyze each of the major risk components for the Tappan Zee Bridge Replacement Project (also known as “The New NY Bridge” or “The Governor Mario M. Cuomo Bridge”), including a discussion of the key risk mitigants used for each category by the project sponsor.


2. How successful has the Tappan Zee Bridge Replacement Project been to date?  Are there are potential drawbacks that you see over the remaining life of the project?  What lessons can be drawn from the Tappan Zee Bridge Replacement Project for other PPP projects in the U.S.?


Website Links and Resources


http://www.newnybridge.com


https://www.transportation.gov/tifia/financed-projects/new-ny-tappan-zee-bridge-replacement


https://www.thruway.ny.gov/about/financial/bond/sales/2016a-jios.pdf


https://www.thruway.ny.gov/about/financial/bond/sales/2013a-jios.pdf


https://www.budget.ny.gov/pubs/archive/fy19/enac/fy19enacCP.pdf


https://www.wsj.com/articles/cuomos-answer-to-the-tappan-zee-problem-poses-another-question-1503513745


https://nypost.com/2018/09/05/the-new-tappan-zee-shows-the-best-and-the-worst-of-cuomo/


https://www.empirecenter.org